Wall Street Falls 10% from Its Record Amid Trump's Escalating Trade War
Wall Street entered its first correction since 2023 after Trump’s escalating trade war drove the S&P 500 more than 10% below its record, amid fears of further economic disruption.
Published on April 13, 2025
On Thursday, Wall Street suffered its first correction since 2023 as President Donald Trump ramped up his trade war. The S&P 500 slid more than 10% below its recent record following threats of steep tariffs on European wines and alcohol. The Dow dropped 537 points (1.3%) and the Nasdaq composite declined 2%, underscoring deep investor unease about the economic cost of these aggressive policy moves.
Additional analyses from recent reports noted that market volatility may worsen if such policies persist, with mentions of potential recession risks and increased defaults. While some officials hint at possible stabilization measures in coming days, Trump’s determination to reshape U.S. manufacturing and government size continues to fuel uncertainty amid a broader global economic rethink, as observed in industry commentary from early April 2025.